Sokoto Settles AMCON Debt, Reclaims Sokoto Furniture

Sokoto government has paid the debt owed Assets Management Company of Nigeria (AMCON) and reclaimed the possession of the state furniture factory.

A statement issued in Sokoto by the spokesman of Governor Aminu Waziri Tambuwal, Malam Imam Imam, said a debt restructuring agreement entered into by the two parties saw the government clear the debt of N1,500,000,000 to take over the company.

In a related development, the state government said it has opened discussions with some German and Kenyan investors, who were ready to revive the factory.

Established in 1973, “the furniture factory was one of the largest employers of labour in the state before it went comatose. Few years ago, the government took a loan to revive it’s operations but after defaulting, AMCON took over the company.

“Considering the importance of the company to our economy in terms of revenue generation and job creation, government decided to pay the debt and retake possession of Sokoto Furniture Company,” the statement quoted the state commissioner of finance, Saidu Umar, as saying.

“We are bringing private investors to revive the company and put it back on sound footing. Already, discussions have commenced between some Kenyan and German investors in that regard. Having invested funds to retake it from AMCON, we will ensure such expenditure is justified,” he added.

The government said once fully revived, the company will produce modern furniture for schools, hospitals and related areas.

“For a start, we hope to make use of the company to produce school furniture to meet the requirement of the state now that we have declared a state of emergency in the education sector in the state,” the commissioner added.